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  • Marketing Organisation

     

    Marketing plan is implemented trough marketing organisaion.An organisation may have a centralised marketing department at its corporate head-quarters or may have decentralised marketing depatments at different regions.Marketing departmental head may have a designation of Marketing Manager or Marketing Vice President.Several functionaries may report to him – a sales manager, a promotion manager, a marketing research manager, a distribution manager, a product manger etc.There is the delegation of authority from the top to the bottom.Reporting is from the bottom to the top.To the sales manager, the product manager and promotion manager are staff or advisory functionaries.Marketing research too is an advisory function.Sales is organised on the basis of geography.There is a nation level Sales Manager. To him reports the regional or zonal level sales managers.To these report the Sales Supervisors who directly supervise a team of salesmen.A company with diverse products may have sales managers devoted to these  different products.Product managers are responsible for developing strategies for their product groups.At times, they are also called brand mangers.The system was started by P&G in the US to market Camay soaps first.

  • Psychedelic Art ( Psy Art )

     

    It is fine art characterised  by vibrant and neon colours, metaphysical and surrealistic symbols, extreme depth, geometric patterns and creative typography. It started with the hippy culture of the 1960s and was created to begin with under the influence of hallucinogenic  substances. Later Pop culture adopted it. It was used in underground magazines, concert posters and rock album covers. It had a profound effect on what we call modern art today.

    Psy art has many branches. Celestrial-fantasy art  is magical, dream-like, surreal and ethereal. It is inspired by nature. Fractal art  is created on computer using an iterative numerical process. It is a visual symphony of art, maths and digital imaging. It is similar to photography. Meditative art  is an expression of the meditative state of the artist. Digital psy art  was initiated by the rave movement of the 1990s. It uses computer software. The visuals are mind-expanding. Neo-surrealism is a revival of surrealism mixed with pop art. It illustrates the bizarre imagery of dreams or the subconscious  mind. Visionary art  portrays a higher awareness and portrays clairvoyant visions. The paintings are innately timeless.

  • Warner Bros: Study

     

    The market report of Warner Bros. found that fewer Hollywood film-makers now depict sex on screen. It does not sell anymore.

    Previously, Hollywood movies left nothing to imagination. That was considered a marketing strategy to fetch audiences. At times, the script required such explicit scenes e.g. the script or Basic  Instinct . But mostly there was an overdose of erotica rather than the subtle display of sex between the 1930s and 1960s. Blatant display of sex is not sustainable in the long run . Moviegoers do need wholesome entertainment . Cinema is about nuanced portrayal, not crass manifestation of sexuality. Hindi film industry has depicted human passion in subdued ways –- flowers swaying , bees necking and lightning striking. These days in Hindi films, there are bold sex scenes which were previously a part of Hollywood movies. A globally recognised sign of sex were the shots of rumpled bed sheets. One of the last steamy scenes in Hollywood was the intimate in-car moment in Titanic (1997). Hollywood underlined there was nothing shameful about sex. This sexiness stood for freedom to capture the rise and fall of human feelings. Hollywood today forsakes this freedom in favour of the superheroes. It is surely an anti-climax.

  • DIGITAL ADVERTISING

     

    In any industry , we come across disruptive events. In advertising , the first disruptive event was the advent  of the TV inthe1940s . Thereafter , we had just incremental changes – print to video . It was all an era of mass advertising . Another disruptive event is the advent of digital advertising . It is a far bigger shift than the previous three shifts – print to radio to TV – put together . It is not just a change in the media – but a change from the mass media to personalised media . It is the beginning of customised ads – a different phase of creativity and distribution . The ads are tailored to user needs . Thus shaving gel ads will be shown to men only  and diaper ads to new mothers . The old media will continue to co-existwith the new media but most innovations will happen in digital space . A search engine may figure out an individual’s personality and preferences and may project the relevant ads to him .

    Traditionally , an Agency  has the creative , production and media departments . Media buying is related to radio , TV  , print or a mix of them . Digital buying is not so simple . There are display ads , search or campaigns on YouTube , Facebook , Twitter , LinkedIn and so on . Each has a different social graph.Creative and media will work together, along with the techies . There will be emphasis on user data. It will influence the structure of the agencies.

    Nissan Mexico’s launch of the Pathfinder was done in digital space.In India, there was YouTube campaign around Lifebuoy.

    The chase for the ‘holygrail for advertising’ has begun – one ad for every individual . The surface has just been scratched  . The next ten years are important .

     

     

    TV in the 1940s . Thereafter , we had just incremental changes – print to video

  • The Original Apple’s Marketing Philosophy

     

    There is a reference to the the marketing philosophy of Apple Computers developed by Markulla in 1977 in Issaacson authored biography of Steve Jobs.It emphasised three points.The first is  to empathise with the customer.There should be a connect between you and your customer.A company has to understand the needs of the customer better than others.The second is focus by concentrating on things you decide to do by eliminating all unimportant opportunities.The third point is to impute the desired qualities to the product and company by shunning slipshod manner or ‘chalta hai’ attitude.

  • il for advertising’

  • Music : Evolution of Product

    Music  : Evolution of Product

    ipod-vs-walkmanMusic industry as a whole faced disruption by the Internet. Traditionally pre-recorded music was distributed and sold. That was substituted by file sharing, downloadable tracks and more recently cloud-based streaming. This has affected the revenues of the music industry.


    The MP3 Format

    In the mid 1990s, the MP3 format provided a means to store audio in a compressed format that was far smaller than uncompressed audio . In those days, hard-drives and portable music players had lesser storage capacities. The compressed format enabled people to store music tracks on their personal computers and portable devices. It became easy to create your own compact discs (CDs) mixed compilations .

    File Sharing Platform

    There was national progression from music CD’s to the Internet-based peer-to-peer file sharing applications. Napster launched it in 1999. Such applications proliferated. Mostly these were illegal. It cannibalized sales of traditional music distributor platforms. There was litigation against the offending companies and individual customers. Still, the pirated music gets downloaded.

    Apple : iTunes

    Apple is one of the first companies to try to legitimize downloading of individual tracks. It opened its  iTunes music store in 2002 to complement its iPod device. It was an immediate success. Five million plus songs were downloaded in the first two months. It was an attractive proposition to the customers–they can download legally and have access to preferred songs without buying an entire album.

    Cloud Computing

    The rapid rise in broad band speed and penetration in recent years has opened up the possibility of cloud computing, which allows access to files without the need for local storage. There are start ups such as Spotify and Groove Shark which allow access to an almost endless database of music to users, which can be pushed to computers and other devices which are internet–connected .

    The business model is based on subscription services and advertising while a user listens. Spotify technology development began in 2006. The founding company is based in Stockholm, Sweden. The technology was launched for public access in 2008. It was by invitation. In 2009, it launched free registration. The parent company has moved from Stockholm to London. It has now tied up with social media sites. Unlike Napster, Spotify owns music rights, through agents. However, Spotify is over -dependent on social media.
    Convincing users to pay for music, any music , has been a growing challenge since the introduction of the cassette tape. (Isacc Dinner kenan – Flagler Business School)

  • Ethical Issues in Advertising

         There are wide variety of ethical issues in advertising –- marketing unhealthy products , advertising to children and using puffery .

    Unhealthful Products

              There are products that cause harm to human health e. g  tobacco , alcohol , pan masala  . Should they be allowed to advertise ? Some countries have banned such advertisements whereas some restrict such advertising . The companies feel that as long as the products are legal ,there should not be any restriction on advertising them . Critics , however , disagree .

    Advertising to Children

        Can we direct the commercials to children ? TV advertising to children poses an ethical dilemma . There are issues of cartoon channels and advertising . The young mind will not be able to distinguish between the programme content and  advertising .

    Using  Puffery

         Puffery is exaggerated subjective praise of the product without any substantiation . Some puffery is harmless , and cannot be proved or disproved . Puffery should not be misleading , and should not be used as a license to lie . Mostly people can understand when an advertiser is exaggerating.

  • Advertising and Society

    Advertising and Society
    Advertising Towards Impact On The SocietyAdvertising has been assaulted by its critics who contend that apart from selling products and espousing ideas, advertising influences society in unwanted and intrusive ways. It is all–pervasive and persuasive too. This gives it the ability to shape the social attitudes. Many defend advertising on the basis of economic benefits. In addition, advertising fosters freedom of expression and supports the media. It not only provides information about the products and services, but also about the social issues. While influencing the society, advertising too is influenced by the society – it acts as a mirror which reflects the social changes. The language, idiom and illustrations in advertising conform to the socially accepted practices.
    Whether advertising is good or bad to the society is to be examined on the basis of issues. Let us examine a few issues.

    Language and Literacy
    It is charged that advertising corrupts the language. It tweaks the sentences, spellings and grammar to make a point. It uses ‘Hinglish’ in India, and plays fast and loose with the rules of language. The audience too copies the same. Such erosion can affect the literacy level.
    Advertising uses the language that people it wants to reach use. There is no intention to sully the language. It just reflects what the audience uses. While reaching the youngsters, it uses a jingle like ‘har ek friend zaroori hota hai‘. Advertising language is thus less–than–perfect. It tweaks words so as to make them distinguished trade marks or brand names, i.e. Kwality instead of Quality.

    Manipulation and Exploitation
    Does advertising lure you into buying what you do not need it all? Does it exploit people? Critics accuse advertising of powerfully swaying people to use the advertised products and services. Advertising, they say, exploits your hidden anxieties and play upon your fears. It kindles hopes and takes advantage of your inadequacies. Advertising manipulates you psychologically. Advertisers make you believe that their products give you social status, you receive love and acceptance by using them.
    In defence of advertising, they say that there is nothing wrong in persuading people to identify their needs and offer them a suitable product to match those needs. What advertising does is to inform people about the products available, about the choices people can make. Advertising makes the market more efficient for both the advertisers and the consumers by passing on information.Advertising cannot create demand for a product that is not needed. Advertising stimulates you to buy but if the product that meets your needs is not available, you do not buy. No amount of advertising can make you buy a product that does not work, or does not satisfy your needs. People have been found holding against advertising by skipping them when TV commercials are being shown. They have the freedom to turn the pages of the print media of they are not interested in the product advertised. That the skepticism  shown by people acts as a counterbalance against the persuasive power of advertising.

    Stereotyping
    Advertising creates many stereotypes – the behaviour is generalised on the basics of a particular slot, class or group. This is the usual criticism of advertising. Thus we may have a daughter–in–law who is dominated by the mother–in–law, who is reprimanded.  As in compressed 10 second commercial, it is difficult to build a character, some sort of visual cues are used to judge these characters. The problem with this approach is that a whole group is stereotyped – elderly people are senile, and women are housewives. Such stereotyping may strengthen the prevailing prejudices against these groups.

    Such stereotyping in a diverse country like India may alienate several potential customers. If women are shown in correct perspective it may open up a wider market. The situation is slowly changing. Thus a modern daughter–in–law wins the acclaim of the mother–in–law by showing her expertise in culinary skills, home management etc. In addition advertising models are all handsome young men, and fair women. They do not represent a vast hinterland population of the weak, poor and backward. However, many ads now show models drawn from real life, thus a real shopkeeper recommends a particular product. Advertisers should feature more and more people from the socially disadvantaged groups.

    Influence on the media
    Advertising, we know, sustains media by providing it revenues. In the process, it is so alleged, it exercises great influence on the editorial content of the media. Media faces an actual or implied threat of the pulling the ads. When media writes about business, it exercises caution.
    On the other hand, media is affordable for a large number of people mainly on account of advertising. Had media been solely dependent on government funding, it would have been the worst situation. Media sells advertising to many advertisers, and therefore, not  unduly influenced while disseminating news. Media supported by many advertisers is a better proposition than the wholly government supported media.
    Still media avoids the controversial topics that may offend the advertising sponsors. The alternative is to have media without advertising. But such media, not subsidised by ad revenues, becomes too costly. People will have to pay for even radio and TV programmes.

    Bad Taste and Offensiveness
    Advertising is often criticised for being in bad taste, or at times totally offensive. However, here one has to separate the product from the presentation, say a bra which is an inner garment for a woman. Maybe, it is not portrayed tastefully. It should be noted here that taste is a subjective thing. What is acceptable to some remains  objectionable to others.Over a period of time, the seemingly offensive things appear less distasteful on account of social changes.In addition, certain ads appear to be offensive in other media.Advertisers have to remember that ads of questionable taste generate debates but may not achieve the ultimate aim of generating sales.

    Advertising and Social Responsibility
    As members of the society, advertisers too owe a responsibility to it.It is going beyond your own objectives of  profits, growth and survival.Agencies produce ads that promote social causes – save water, save power, do not use drugs etc. Many businesses put these ads in the media.Then there are non-profit organisations and government bodies who too promote such messages.Media too willingly donates time and space for such messages.

    Advertising and Ethics
    The role of ethics in advertising has been debated since long.There is a call for more ethical advertising.There are  some fraudulent ads which invite public criticism and at times legal action.This has led to a self-regulatory body such as ASCI : Advertising Standards Council of India, some regulatory laws, some codes such as the Doordarshan Code to define what the advertisers can do and cannot do.There are two issues here–ethical dilemmas and ethical lapses.

    An unresolved ethical question where both the sides have their own set of arguments is called an ethical dilemma.Whether a cigarette manufacturer be allowed to promote or not is an ethical dilemma.If allowed, it leads to harmful effects on the population.If not, the manufacturer’s right to the freedom of speech and its right to sell a legal product are violated.In all ethical dilemmas, there are conflicting rights of two or more important groups of people.

    An ethical lapse is just unethical. A detergent contends that it has the power of lime, but does not contain any lime at all is an ethical lapse.

    Ethical Issues in Advertising

    There are wide variety of ethical issues in advertising –- marketing unhealthy products , advertising to children and using puffery .

    Unhealthful Products

    There are products that cause harm to human health e. g  tobacco , alcohol , pan masala  . Should they be allowed to advertise ? Some countries have banned such advertisements whereas some restrict such advertising . The companies feel that as long as the products are legal ,there should not be any restriction on advertising them . Critics , however , disagree .

    Advertising to Children

    Can we direct the commercials to children ? TV advertising to children poses an ethical dilemma . There are issues of cartoon channels and advertising . The young mind will not be able to distinguish between the programme content and  advertising .

    Using  Puffery

    Puffery is exaggerated subjective praise of the product without any substantiation . Some puffery is harmless , and cannot be proved or disproved . Puffery should not be misleading , and should not be used as a license to lie . Mostly people can understand when an advertiser is exaggerating.

  • Youtube

    YouTube

    YouTube_logo_standard_whiteTime magazine described YouTube as the beast with a billion eyes. It is just 14 years old, but is growing at a fast pace. Every minute several hours of video get uploaded to YouTube. It gets a trillion page-views a year. Google bought YouTube in October 2006. Its massive size is a mixed blessing. TV has limited options of viewing whereas YouTube sifts through billions of options . An average user spends 15 minutes on YouTube , whereas he watches on average TV for 3 hours. The upkeep of YouTube is expensive. YouTube tries to tap the ad revenue, but since YouTube does not get the kind of attention the advertisers want, it is not a preferred medium. The advertisers would not like their reputed brands to be near the random stuff , at times weird too . Google, therefore, cannot charge as much as a satellite channel for the ads. But cleaning YouTube is not the answer. It thrives on its anarchy. YouTube is based in San Bruno , California , south of San Francisco. YouTube gets a billion search queries a day. After Google, it is the second largest search engine on the Internet. But video search is not similar to web pages search. Web pages can be read, as there are words. But a computer cannot watch a movie. It cannot look at the huge string of 1’s and 0’s that make a video file. The solution is verbal description of the videos depending on user behaviour. YouTube will survive, but there should be a totally new strategy for it. The designing work is always in progress. The contents should be easily navigable. Its background colour is therefore made gray. Formerly there was a grid of videos. Now, there is a list of channels on the left hand side and the feed informs you the recent videos from those channels. Each channel has a bunch of videos grouped together on to one page. This is done by an individual user. The users organise the videos to overcome the chaos. There is a limitation to the fragmentation of cable TV. YouTube can do it infinitely. Yet, you cannot watch YouTube on TV. YouTube, however is producing its own content. By organising content, any individual can run a channel. The individual channels have subscribers. YouTube is attempting to beat TV, but in doing so it will become TV. It the dilutes its anarchic character.

    YouTube Monetisation

    YouTube runs ads on user-generated content and shares a portion of the revenue with the creators once they have got monetised. It keeps 45 per cent while the creator receives the balance 55 per cent. The company faced significant pressure from advertisers and users as the ads were placed alongside the offensive content. They introduced new policies that restrict monetisation of the channel. They changed YouTube partner programme which now requires many more subscribers and viewership to earn money. Earlier, a YouTube video creator was required to have only 10,000 views to become eligible for monetising his content on YouTube. Now a video creator becomes eligible only if he garners 4000 hours of watch time within the past 12 months and has at least 1000 subscribers. This should weed out spammers and bad actors.

    Seasoned YouTubers with a large number of subscribers remain unaffected. Multiple channels may be a casualty or the new policy. Time and energy will be devoted to the channel that has the best prospects crossing the monetisation threshold.

    There are other possibilities of earning revenue apart from Adsense. These included affiliate marketing, sponsorships and merchandising. In affiliated marketing, a link is put to the product/service that is being reviewed. If the link is clicked by the viewers and they go to the site, the creator receives a commission. Sponsorship can be built by developing a reach. They get the attention of brands. Brands are inclined to sponsor bloggers and YouTubers with an impressive reach. They pay the creator to review their products. Those who produce advertising-friendly content receive more adds.

    Trailer Marketing on YouTube

    The first look of the movies or trailers are released on YouTube these days. In yester years TV and theatres were used to screen trailers. These days the emphasis is on digital releases of the trailers. These are used to set down a set of expectations for the film’s run at the box office. The like and dislike ratio is observed. If dislike ratio is 8 to 10 percent, the sentiment is positive. If the ratio goes beyond that, the sentiment towards the film is mixed, or may be even negative. There are several million views for a good movie trailer, several million likes and several lac dislikes. This is leveraged to create interest in the product. Movie makers make a marketing strategy to get views, and they do not spend anything for distribution of the trailer. Making of a trailer is taken seriously. The production budgets are decent. The bits of storyline, songs and catchphrases are used to build up the launch of the first look. The cost could reach from Rs. 1 million to 10 million. It should be cut properly. On YouTube, the trailer reaches a huge audience in a very short span of time. Even the overall marketing of the movie has become digital. It is cross promoted on social media where the star cast is popular. Some trailers are launched simultaneously on TV and YouTube. It is, however, rare. Marketers learn a great deal from the feedback, of the audiences. The back end analytics help the marketer gauge the response and likeability.